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Tuesday, March 25, 2025

Red Year of Elon Musk. The billionaire lost as much as the GDP

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Judicial day on the stock exchanges: It was a real “black Monday” on American Gie³dach. The S & P500 index lost 2.7 percent, and NASDAQ technological – as much as 4 percent All the most important American companies finished the day on a strong minus – Alphabet (-4.6 percent), Microsoft (-3.34 percent), Nvidia (-5.07 percent), Finish (-4.42 percent) or Apple (-4.85 percent) Monday, however Tesla. The automotive concern ended the session with a result of -15.43 percent.

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Fatal weeks of Tesla: On the wave of enthusiasm After the victory of Donald Trump in the US elections. Since then, they have fallen by half to just over 220 dollars. This means that from December 2024 the company's market value has shrunk at – a trifle – $ 800 billion.

Tesla Investing.com

Fortuna Muska melts: The largest The shareholder in Tesla is Elon Musk, who has 12.77 percent. Company's values. The fatal streak of the group had to bounce back to the property of the richest man in the world. And she bounced. According to Bloomberg's data, only during the last day Fortuna Elon Musk has decreased by almost $ 30 billion. The loss from the beginning of the year, in turn, is up to $ 132 billion. That's as much as the nominal GDP of Slovakia according to the data of the World Bank. Of course, even after such severe declines with a property of $ 301 billion, Elon Musk still remains “number 1” in the Bloomberg Billionaires Index ranking, where he is ahead of the head of Amazon Jeff Bezos ($ 216 billion)

Bloomberg index
Bloomberg index photo: Bloomberg

Trump scared investors? As analysts explain, the words of Donald Trump, who in a Sunday interview with Fox News, have not ruled out for the declines on the American stock exchange. – I hate to predict such things. There is a transition period, because what we do is very large. We restore the wealth of America – said the US president.

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>>> You can read more about economic forecasts for the USA in this text

“Detached from the foundations”: Stock market problems Tesla However, they also have a deeper dimension. It concerns the company's business itself. Many experts point out that the valuation of Elona Muska was and is still detached from the foundations. “Investors have long focused on Musk's visions about the future of Tesla, and not on her current profits. However, the growing gap between her real results and the estimates of analysts on profits for future products prompted some to warn against irrational enthusiasm” – reads Reuters. “How long can actions remain detached from the foundations?” – he wrote in turn in January this year. JP Analyst Morgan Ryan Brinkman, after Tesla announced poor profits and the first one in history annual decline in vehicle sales.

“First buddy” of the USA. His political activity remains not without influence on the stock market valuation of Tesla and the fortune of Elon Musk. Musk, whom Donald Trump himself jokingly describes the “first buddy” (First Buddy) is not a member, But this does not bother him the Department of Government Efficiency (DOGE) in conducting staff purges in the American administration. The last political movements of Musk, as well as numerous controversial statements (regarding even war in Ukraine) and gestures (the famous Roman salut) make some investors ask themselves question about whether he is able to continue to manage Tesla.

Sources: Bloomberg, Reuters, Investing.com



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